Americas News
Galveston LNG Bunker Port, TOTE Services Partner on Jones Act LNG Bunker Vessel Fleet
Texas-based Galveston LNG Bunker Port (GLBP) today announced it has signed a strategic Heads of Agreement (HOA) with TOTE Services to develop and operate a fleet of Jones Act-compliant LNG bunker vessels to serve the U.S. Gulf Coast.
The partnership is aimed at supporting LNG marine fuel demand in the greater Houston–Galveston port complex, with the vessels supplying customers from what GLBP says will be the first dedicated small-scale LNG bunkering facility on the U.S. Gulf Coast.
Under the agreement, TOTE Services will provide expertise in vessel development, construction oversight, and long-term operation.
Per Jones Act requirements, the vessels will be U.S.-built, owned, and crewed with a charter agreement for the first LNG bunker vessel expected by mid-2026.
As vessel operators look to reduce emissions and their exposure to a growing body of environmental regulations, LNG has emerged as the alternative bunker fuel of choice with orders for gas-powered new-builds now significantly outpacing other options such as methanol.
GLBP says the framework is designed to allow it to move efficiently toward full project completion as demand for LNG bunkers continues to grow.
With a phase 1 production capacity of around 600 mt (360,000 gallons) per day, growing to 1,200 mt (720,000 gallons) per day at full production capacity, GLBP expect the facility to be operational in 2029.
With the LNG bunker lobby still looking to shake its image as a transitional fuel, GLBP noted the collaboration with TOTE will give customers future ability to integrate bio-LNG and e-LNG into their energy mix.
GLBP added it is targeting a final investment decision (FID) in 2026, having secured key federal and state permits in 2025 and awarded EPC contracts for the terminal.
As one of the early advocates for LNG bunkers, TOTE Services currently manages a fleet that includes LNG-powered vessels and LNG bunkering assets.
Jeff Dixon, President of TOTE Services, said the partnership with GLBP reflects its ongoing focus on "practical, scalable LNG solutions that strengthen the U.S. maritime industry."
